NAGA swung to profit in 2023 despite revenue dip

abdelaziz Fathi

NAGA Group, a provider of brokerage services, cryptocurrency platform NAGAX and neo-banking app NAGA Pay, announced the financial results for the first half ending June 30, 2023.

The group’s brokerage business revenue was reported at €19.5 million, down 44 percent from €35 million the year earlier. In terms of its bottom-line metrics, however, the Q1 EBITDA was €2.3 million compared to a net loss of -€2.7 million in H1 2022.

Following a restructuring in the summer, NAGA decreased its cost base by nearly two thirds when compared with the same period in the year earlier whilst keeping new customer growth 15 % above 2022 levels.

In its latest annual report, the publicly traded fintech attributed the bulk of its solid performance to the strong trading activity. In particular, NAGA saw over 4.9 million trades executed and a trading volume of €69 billion. That compares to a record €250 billion in 2022.

NAGA, which offers investment in stocks and crypto via its mobile app, also reported that the number of active traders rose by 22% compared to the same period in the previous year.

Another key metric reflecting NAGA’s growth is the increase in assets under custody, which have grown by 48% in H1 2023 from €35 million the previous year.

As Sam Chaney, Chief Commercial Officer of NAGA, stated, “We are thrilled with our performance and future growth prospects. Our focus on cost reduction and improved core KPIs has positioned us well for continued success in the global market.”

“2023 will be a steppingstone into the future for NAGA. We are extremely satisfied with the turnaround that occurred during the first half year of 2023 and this is confirmed by the preliminary results of the first six months of 2023. Our cost base has been significantly optimized leading to a positive EBITDA compared to last year. We have reassessed our strategy and have now shifted our attention to global growth, new acquisitions, and expansion of our license base which will make NAGA a strong brand and give a solid footprint in new markets”, commented the CFO of NAGA, Christos Charalambous.

Earlier in June, NAGA said it secured $8.2 million via convertible bonds, proceeds of which will be used to meet its working capital requirements.

NAGA has also made a series of new additions to its top management team, hiring new executives for key leadership positions, with Michael Milonas taking on the role of Group CEO (Chief Strategy Officer). Benjamin Bilski, the company’s previous CEO, will now shift his focus to technology as the Chief Information Officer (CIO). Additionally, NAGA has appointed Sam Chaney as the Chief Commercial Officer (CCO), responsible for driving global growth in emerging markets.

Read this next

Digital Assets

Coinbase nears deal to buy FTX Europe, lured by its derivatives business

Coinbase is reportedly in the final stages of negotiations to acquire FTX Europe, signaling its intent to expand in regions with well-defined cryptocurrency regulations.

Digital Assets

MicroStrategy buys more bitcoins as crypto bet loses +$600M

MicroStrategy has purchased another 5,445 bitcoins for approximately $147.3 million in cash, adding to its massive cryptocurrency holdings during a sharp drop in the price.

Digital Assets

TYRION Set To Decentralize The $377B Digital Advertising Industry

TYRION, a groundbreaking player in decentralized digital advertising, has launched its innovative blockchain-based platform aimed at disrupting an industry long dominated by centralized tech giants, by addressing issues like lack of transparency, data privacy, and declining ROI, while also offering features like social platform integration, robust analytics, and a deflationary mechanism for its native $TYRION token.

Institutional FX

TD Bank sells TD Cowen’s $1.3B business to Marex

London-headquartered commodities broker Marex has agreed to acquire TD Cowen’s prime brokerage and outsourced trading business, which will be integrated into Marex’s capital market division. This division was established following the acquisition of ED&F Man Capital Markets in 2022.

Retail FX

ThinkMarkets reports flat revenues, lower profit for FY2022

The UK business of Melbourne-based broker, ThinkMarkets, today reported its financial results for the fiscal year ending December 31, 2022. The multi-asset platform, trading in the UK as TF Global Markets UK, had seen mixed results in a couple of key areas over a yearly basis.

Institutional FX

Finalto named ‘Best CFD Liquidity Provider’ at Ultimate Fintech Awards Global 2023

“This recognition is a testament to our commitment to providing exceptional liquidity services, innovative solutions, and outstanding customer support. We would like to express our sincere gratitude to our clients and partners for their trust and support. We will continue our efforts and look forward to delivering even greater value to our clients in the future.”

Digital Assets

New Cryptocurrency Meme Kombat ($MK) Launches Public Token Presale, Staking Platform

Meme Kombat, a new gaming platform blending the allure of internet memes with competitive battle arenas, has announced that the presale for its native $MK token is now live, offering a high APY of 112% and creating significant buzz in the crypto and Web3 communities.

Digital Assets

Hydranet Launches Layer 3 DEX: A Game Changer for Trustless Cross-Chain Trading

Hydranet has unveiled its groundbreaking Layer 3 trading platform, Hydranet DEX, that allows for near-instant, low-fee, and trustless cross-chain trading between Bitcoin and Ethereum ecosystems, marking a significant milestone in the project’s development journey.

Digital Assets

Coinbase gets nod to launch crypto services in Spain

Coinbase has scored Anti-Money Laundering (AML) compliance registration with Spain’s central bank as part of its continued expansion efforts in Europe.